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    The Caveman Principle Investment Club

    The Caveman Principle Investment Club


    The Caveman Principle

    Posted: 05 Dec 2019 01:10 PM PST

    So, what is the Caveman (or Cavewoman) Principle?

    It is a conjecture raised by Michio Kaku in his book Physics of The Future, in which he examines what is expected from technological progress over the next century or so.

    It goes something like this:

    Kaku states that there is no evidence that our brains and personalities have changed much since our early ancestors over 100,000 years ago.

    He makes the example of taking someone from that ancient period, giving them a bath and shave (and some avocado toast), and placing them in a three-piece suit and putting them on Wall Street, and says they would be physically indistinguishable from everyone else.

    He then draws the conclusion that our wants, personalities, desires haven't changed much in 100,000 years - and that we still think like our caveman ancestors.

    The important point is: whenever there is a conflict between modern technology and the desires of our primitive ancestors, these primitive desires win each time - this is THE CAVEMAN PRINCIPLE.

    The first example he gives is that the caveman always demanded "proof of the kill", so it was never enough to brag about the big one that got away - having a fresh animal in our hands was always preferable.

    Many people instinctively don't trust the electrons floating in our computer screen, so they print e-mails and reports, even when it's not necessary - and that is the main reason why the "paperless office", which was predicted by futurists, never came to be.

    His second example is provided by the fact that our ancestors always liked face-to-face encounters.

    This helped us to bond with others and read their hidden emotions.

    This is why the people-less city, which some futurists predicted based on teleconferencing via the Internet making face-to-face meetings unnecessary, has not come to pass.

    For instance, a boss might want to carefully size up their employees, which is difficult to do online, but face-to-face a boss can read body language to gain valuable unconscious information. By watching people up close, we feel a common bond and can also read subtle body language.

    This is because our apelike ancestors, many thousands of years before they developed speech, used body language almost exclusively to convey thoughts and emotions.

    This is why cyber tourism never took off - it's one thing to see a picture of a cool place, it's another thing to have the bragging rights of actually seeing that place in real life.

    Also, streaming your favourite artist is different to the sudden rush when actually seeing this artist in a live concert - surrounded by the fanfare, hoopla and noise.

    Looking at the music industry and specifically concert sales, we can see this explicitly.

    A recent PwC report states that the value of ticket sales for live music events will exceed US$25 billion for the first time in 2023 – with total industry revenues set to reach a record US$31.5 billion the same year.

    https://www.youtube.com/watch?v=-AP-FB3_r5w

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    submitted by /u/financeoptimum
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